Bitcoin price seems to have lost the coveted $20,000 level while Cardano (ADA) is up 6%, making it the best performer from the top 10 in the past 24 hours. It appears that the bears are slowly taking control over the market in the short term as the primary cryptocurrency trades below $20,000, and the majority of other coins look indecisive at best. Of course, there are certain exceptions. At the time of writing, BTC is changing hands at $19,816.
BTC/USD 4-hour chart | Source: TradingView
Bitcoin Price Losing $20,000
The $20,000 level is one of significant importance. Apart from being a psychological mark, it also contains technical and fundamental support, being the high of the 2017-2018 bull market.
With that said, BTC has been flirting with $20K for a few days now, and it appears that the bulls may have finally given up. At the time of this writing, the cryptocurrency trades at around $19,800, having recovered from the daily lows at around $19,600. The volatility has also disappeared from the market over the past couple of days, resulting in a lot fewer liquidations and overall trading volume. For the past 24 hours, there were only about $6 million in liquidated positions for BTC.
Even though most of the market is painted in the green today, the increases are actually quite insignificant, as seen in the heatmap below. Cardano is undoubtedly the best performer among the top altcoins, whereas cryptocurrencies like ETH, DOT, BNB, and XRP, are all up by less than 1%.
DeFiChain (DFI) seems to be the coin that gained the most in the past day – up by a whopping 11.5%, followed by GMX and ADA. On the other end of the spectrum, we have Helium’s HNT, which is down 8.3%, followed by LEO – down 4.5%.
Cardano’s profitability and the ecosystem’s fundamental value are still on rising
In the last 24 hours, most digital assets have been struggling to show a positive price performance on the cryptocurrency market, but Cardano was not one of them. One of the biggest Ethereum rivals has become the most profitable crypto in the last 24 hours, according to CoinMarketCap’s top.
Despite moving in a prolonged downtrend, ADA is constantly testing local resistance levels and aiming for a rapid recovery as the overall profitability of the asset is still on one of the lowest levels compared to Ethereum or even Bitcoin, which faced an almost 80% correction.
As for now, Cardano is desperately trying to break above the 50-day moving average, which acts as a barrier for assets moving in a downtrend. If broken, ADA would be able to move toward the next resistance level at almost $0.7, the price level that corresponds to the 200-day moving average. Unfortunately, the growth we are seeing today was most likely only possible due to the lack of selling pressure caused by the weekend trading session infamous for a relatively low trading volume and liquidity.
Despite it only being the beginning of the month, Cardano’s vibrant ecosystem saw many releases and additions like the confirmation of the Vasil hard fork that will happen Sept. 22, GeroWallet release, successful Aada Finance audit and the upcoming launch Sept. 13. Most industry experts believe projects like Cardano will blossom during the next bull run as the fundamental value of networks will be the defining factor during the next growth cycles on the market, and speculative assets like Shiba Inu will no longer attract users unless markets become extremely overbought once again.
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